Asset classes

Many limited partner institutions either have used the secondaries market to sell fund stakes, or are ready to hit the market with sales as soon as pricing hits the right level.

The EIF began backing LP-led transactions in buyout funds and hybrid debt-equity funds before investing in GP-leds in 2017, head of secondaries Joaquín Alexandre Ruiz Tarré tells Secondaries Investor.

Panelists say fundraising growth can boost bidders and cut pricing spreads.

The firm has previously tapped the secondaries market to run a €1.3bn single-asset process on investor administration group IQ-EQ.

The firm promoted eight professionals to partner and 18 to managing director.

Secondaries capital that comes with deep sector expertise may define the next iteration of the GP-led market.

More than one in four GPs used the secondaries market to extend hold periods, while a further 18% were enticed by unfunded commitments, according to the investment bank.

The system recently changed its policy to allow for quick commitments to continuation funds.

LP portfolio sales led volume last year, clocking in at an estimated $60bn out of a total of $115bn, according to PJT Park Hill’s full-year volume survey.

China funds are trading at a 50% discount to NAV even after a decline in private markets valuations, according to managing director Kent Chen.